Starting or growing a business? Having a clear plan is key. A business plan is essential for setting goals and sales strategies. It's particularly valuable when you're looking to secure funding from investors or apply for a loan.
If writing one seems hard or time-consuming, consider professional business plan services. But what about the cost? Let's find out.
The price varies based on your business's complexity. On average, a professionally written business plan may range from a few hundred to a few thousand dollars. The cost depends on the research needed, market analysis, and financial projections.
While it may seem like a lot, a pro plan can boost your chances of getting funding and guide your business to success. It's a smart long-term investment, providing a clear roadmap.
How Much Should I Pay For a Business Plan Writing Service?
I recently found out about hiring peoples to help with business plans, and I want to share what I learned. It might sound a bit complicated, but I'll break it down for you.
The cost of hiring a business plan writer can range from $2,000 to $25,000. The price depends on things like how good the plan needs to be, how complicated it is, and how long it is. Smaller businesses pay less, while bigger ones might pay more.
You can also hire someone who charges by the hour, which can be from $50 to $300 or even more. When you choose someone to assist with your plan, make sure they include:
- A complete plan with an executive summary, market analysis, marketing plan, financial projections for 3-5 years, and other stuff that makes investors interested.
- Tailoring the plan to fit your specific business.
- Doing some research based on your industry and who you're up against.
- A bunch of companies offer plan-writing services, but the quality can be different. Proceed with care when making your choice.
Remember, if you go for a cheaper option, you might end up with a less impressive plan. That could make it harder to get money or investors interested. So, spending a bit more for better quality is a smart move.
Average Cost of Business Plan Consultants
I recently collected data on what it costs to hire Business Plan Consultants. The table below simply shows the prices for different consultant services. It can help you compare and pick the best one for your needs.
|Number of Pages||Size of Business||Average Costs|
|Up to 10 pages||Small size business||$1,500to 6,000|
|More than 10 pages||Medium size business||$6,000 to $25,000|
|More than 50 pages||Large size business||$25,000 to $50,000|
How Much Does Business Plan Software Cost?
You can get free software, but it's pretty basic. If you want more pro features, you can buy business plan software.
Paid packages often have templates and guides to help. Some even do the math for growth and sales projections using real data. Like Palo Alto Software, it offers many features for $20 per month.
This software not only helps with writing but also tracks your business. You can watch money, sales goals, and budgets, and tweak things if needed. It also has lots of sample plans and industry profiles to help with your business plans.
What Impacts Business Plan Costs?
Let's explore what factors influence the price of business plan services. Here are the essential aspects to contemplate:
- Plan Length - The longer and more complex the plan, the higher the cost.
- Company Size - Bigger or more intricate companies may need a pricier plan.
- Writer Experience - Choosing an experienced writer matters. It's crucial for important goals like funding and growth.
- Timeframe - Quicker plans often mean higher costs. A good plan usually takes 3-4 weeks.
- Extra Services - Some companies offer extra services like helping with plan presentations for an added fee.
Hiring a pro can boost your chances of getting the funds to start or expand your business. Be sure to take your time and look into your choices diligently. A well-prepared plan can be a powerful tool for achieving your business goals.
Should You Write Business Plan Yourself?
Creating your own business plan can save money. If you need less than $200,000 in funding, consider doing it yourself. Learn from books, classes, or experienced guidance.
Taking a class from the Small Business Association (SBA) or SCORE can be helpful. Even if you don't write your plan, you'll gain insights.
Certain business owners are confident in writing their plans. It's a good choice if you're experienced. Still, making a persuasive plan for investors or lenders takes time. Writing is one thing; getting funding is another.
When To Write A Business Plan?
Writing a business plan matters, and timing is key. This is when you should think about it:
1. Starting a New Business
If you're launching a business, a plan helps outline your goals and strategies.
2. Seeking a Business Loan
Banks often require a solid plan when you apply for a loan to show you can repay it.
3. Building Credit History
New businesses need a track record. Banks may need three years of financial data to assess your credit.
4. Partnering Up
When you're starting a business with someone else, a plan clarifies future plans and ownership details.
5. Going International
Expanding overseas? A business plan acts as a roadmap and attracts global investors.
A well-structured plan guides your business and makes it appealing to investors, partners, and lenders. It's your blueprint for making your business dreams a reality.
What Are the Types of Business Plans?
Business plans come in different flavors to suit your goals. Let's break it down:
1. Startup Plan
For new businesses, it's the first plan. It outlines your company, goals, funding, and marketing strategies.
2. Long-Term Strategic Plan
Established firms use this. It's detailed, covers growth, budgets, products, staffing, and revenue.
3. Marketing Plan
Supports your main plan, handy for funding or promoting products. It talks about market trends, sales, ads, pricing, and marketing.
What to Include In My Business Plan?
Building an effective business plan involves several key components. Let's explore what to include:
1. Executive Summary
Kick off with a compelling executive summary. Share a customer success story to boost your plan's credibility.
2. Product or Service
Focus on what your product or service offers. Clearly explain the problems it solves.
3. Market Analysis & Financial Plan
Dive into the financial details. Include income statements, cash flow projections, and the capital you need to start.
4. Capacity And Order Quantities
Explain your production and service capabilities. Help investors understand your potential revenue.
5. Effective Marketing Plan
Create a solid marketing strategy to boost sales. Specify your marketing budget and funding sources.
6. Physical Location and Facilities
Consider your physical needs. If necessary, explore options like buying or leasing office space.
7. Management Team
Show off your team's skills and expertise. If needed, hire managers with the right skills.
8. Financial Responsibilities
Explain who handles finances and contributions. Keep things transparent within your team.
9. Set Long-Term Goals
Share your vision for the future. Where do you see your company in five years, and how will it impact your life and partners?
By including these components, you'll create a clear and actionable plan that investors and stakeholders can easily grasp.
In summary, creating a business plan doesn't need to be complex or costly. You have options, and you don't have to do it all alone.
You can use an app, website, or consulting service to assist in your plan's development. No need to shoulder the entire burden.
For the best results, consider hiring a professional business plan writer or consulting firm. They bring expertise to ensure a polished and effective business plan.
Additionally, they can organize and create a comprehensive plan while you focus on bringing your business vision to life. It's a smart choice.